General Motors has announced it will stop producing seven races around the world, and will release thousands of workers who condemn badly US President Donald Trump, who binds his political riches to industrial recovery.
Shares in the largest automaker in the US closed nearly 5 percent higher after announcing moves to cut costs of $ 6 billion while GM moved away due to a decline in its domestic market and the impact of the World Trade War.
The four plants that will be closed next year – two assembling and two engine manufacturing factories – are in the US, including politically key states such as Ohio and Michigan, where Mr Trump has added his protectionist trade policies with US production support. The fifth plant in Canada will also be closed.
When he spoke on the White House lawn Monday afternoon, Mr. Trump said he told Mr. Barre, General Manager of GM, that he was "not happy" with the move.
"The United States rescued General Motors, and it was not good to get it out of Ohio," he said, asking GM to "get back something soon" to replace the lost production. In an interview with The Wall Street Journal, Mr. Trump said GM should stop producing cars in China.
The closure announced on Monday would require cuts of about 15 percent of GM's North American labor force or 8,000 employees. A further 6,000 temporary staff would be dismissed or relocated.
"We are taking these steps, while society and the economy are strong enough to stay ahead of what we all know is a very challenging environment," said Barra.
Mrs. Barra became GM's newest carmaker, after weak operations in the midst of weak sales in the US, after announcing plans announced by Ford to stop the production of all North American passenger cars.
They come against the backdrop of rising costs, declining car sales and a shift in consumer tastes – especially the growing US preference for pick-ups and sports cars – that the carmaker has to fight while drawing on investment in new technologies such as electric and auto-drive vehicles.
"There were a lot of winds," said Mrs Barra, although she denied that the company is waiting for the immediate decline of the US economy.
Most US factories that have lost their jobs will be in the big Midwest states that helped Mr Trump's choice in 2016, including Detroit-Hamtramck in Detroit and the Lordstown Assembly in Warren, Ohio – and the Warren Motor Show in Michigan.
Larry Kudlow, director of the White House National Economic Association, met with Barroe after the announcement, according to a Trump administration official.
The Democrats tried to blame Mr Trump's dismissal with Tim Ryan, a Democratic congressman from Ohio, who said the president "was asleep at the crossing" when officials tried to help save the Lordstown factory.
"He promised us that his massive corporate tax cut would lead to dramatic reinvestment in our communities," Mr. Ryan said. "That does not happen."
GM is trying to cut costs by $ 4.5 billion and cut capital spending by $ 1.5 billion a year, and in the next two years it will double the funds allocated to electric and autonomous cars.
GM and Ford were hit hard by the steel and aluminum tariffs introduced by Mr Trump as part of his protectionist trade policy. Two car manufacturers said the rising cost of raw materials stood at $ 1 billion, as their home suppliers raised prices by tariffs.
Both were also hindered by insignificant car sales in the US, which declined last year and are expected to continue next year. At the same time, customers' requirements change from traditional salons to larger SUVs and pick-ups.
The number of people who lose their jobs in GM
Mr. Trump said that this GM step has "nothing to do with tariffs." The car did not sell.
Mrs. Barra stated that GM is striving for the "right size" of business and increasing the use of the remaining North American races. As part of these steps, GM will make several models, including the Chevrolet Cruze and the Volt Hybrid, when they reach their current production programs.
In addition to GM caps, GM does not make any new work at the Oshawa plant in Canadian Ontario and the Baltimore Motors Plant in White Marsh, Maryland.
Justin Trudeau, the Canadian prime minister, wrote on Twitter that she told Barrova about "deep disappointment in closing."
He added: "GM workers have been part of the heart and soul of Oshawa for generations – and we will do our best to help families affected by this news come back to their feet."
GM will also try to close two international races by the end of next year, though it did not find where. Within a few years, the company has moved away from suffering or unprofitable markets such as Russia, India and Europe, where it sold its Opel and Vauxhall loss-making brands to Peugeot. Earlier this year, he closed a plant in South Korea.
GM bought last month a buy-in of 18,000 employees in a cost step.